Europe: Stocks steady after Tuesday's rout, Commerzbank shines

[BENGALURU] European stocks inched higher on Wednesday after their worst selloff this year as strong earnings reports and signs of a speedy economic recovery offset concerns about a rapid rise in prices.

The pan-European Stoxx 600 index rose 0.1 per cent by 7.13am GMT after falling by almost 2 per cent on Tuesday as investors offloaded riskier assets on worries that rising US inflation could lead to tighter monetary policy.

All eyes will be on US consumer price data for April that is due later in the day. Numbers for Germany and France were largely in line with estimates.

European earnings are now expected to surge 90.2 per cent in the first quarter, as per Refinitiv IBES data, up from a forecast of 83.1 per cent growth last week.

German lender Commerzbank jumped 5.4 per cent after it beat expectations for first-quarter profit and raised its revenue outlook.

Spirits maker Diageo rose 2.8 per cent on restarting its capital return program, while Amsterdam-based technology investor Prosus gained 3 per cent after plans to acquire up to 45.4 per cent of shares in its parent Naspers.

REUTERS